Core Viewpoint - A class action lawsuit has been filed against Synopsys, Inc. for securities fraud following a significant stock drop attributed to potential violations of federal securities laws [1][3]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the Northern District of California, captioned Kim v. Synopsys, Inc., et al., No. 3:25-cv-09410 [3]. - Investors have until December 30, 2025, to request to lead the case [3]. - The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors in Synopsys securities [3]. Group 2: Company Performance and Allegations - Synopsys provides design automation software products, with its Design IP segment being the fastest-growing, increasing from 25% of revenue in 2022 to 31% in 2024 [4]. - The company previously claimed that customers relied on its IP to minimize integration risk and noted strength in Europe and South Korea [5]. - Allegations state that customers began requiring more customization for IP components, negatively impacting the economics of the Design IP business and jeopardizing the business model [5]. Group 3: Stock Performance - Following the release of Q3 2025 financial results on September 9, 2025, Synopsys reported a 7.7% year-over-year decline in revenue for its Design IP segment, totaling $425.9 million, and a 43% year-over-year decline in net income, amounting to $242.5 million [6]. - The stock price fell nearly 36%, from $604.37 per share to $387.78 per share, after the company disclosed that its Design IP customers required more customization, which increased resource demands and extended timelines [6].
SNPS ALERT: Synopsys, Inc. Investors that Suffered Losses are Notified of the Pending Securities Fraud Lawsuit and to Contact BFA Law by December 30 Deadline